In the latest trading session, Crown Castle (CCI) closed at $160.59, marking a -0.69% move from the previous day. This move was narrower than the S&P 500’s daily loss of 0.81%. At the same time, the Dow lost 0.56%, and the tech-heavy Nasdaq lost 1.27%.
Coming into today, shares of the operator of wireless communications towers had lost 1.32% in the past month. In that same time, the Finance sector gained 3.79%, while the S&P 500 gained 5.06%.
Wall Street will be looking for positivity from CCI as it approaches its next earnings report date. The company is expected to report EPS of $1.55, unchanged from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.50 billion, down 0.89% from the prior-year quarter.
CCI’s full-year Zacks Consensus Estimates are calling for earnings of $6.04 per share and revenue of $5.92 billion. These results would represent year-over-year changes of +6.15% and +1.24%, respectively.
Investors might also notice recent changes to analyst estimates for CCI. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company’s business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. CCI is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note CCI’s current valuation metrics, including its Forward P/E ratio of 26.79. This represents a premium compared to its industry’s average Forward P/E of 15.44.
Also, we should mention that CCI has a PEG ratio of 1.28. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company’s expected earnings growth rate into account. The REIT and Equity Trust – Other was holding an average PEG ratio of 3.92 at yesterday’s closing price.
The REIT and Equity Trust – Other industry is part of the Finance sector. This group has a Zacks Industry Rank of 225, putting it in the bottom 12% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.